Alaska Airlines has just unveiled a monthly subscription service, and I’m not sure what exactly to make of it.
In this post:
The basics of $5 monthly Alaska Access subscription
Alaska Access is the name of Alaska Airlines’ new monthly subscription program, which it describes as being ideal for savvy, price-conscious customers. Starting today, travelers can sign-up for Alaska Access at the cost of $5 per month (with a 12-month commitment), offering exclusive savings on flights and Wi-Fi.
With Alaska Access, you receive:
- A monthly inflight Wi-Fi voucher, offering you complimentary Wi-Fi on a single Alaska flight (this would ordinarily cost $8 per flight); each voucher is only valid for one calendar month, and has to be used by the subscriber
- Early access to fare sales, whereby you’ll receive access to flight sales a night before they’re made open to the public, with the option of booking immediately; this will be through the Alaska Airlines app
- A personalized fare page, whereby you’ll be able to view the lowest fares using money or miles to more than 500 global destinations, taking the guesswork and time out of finding the best value flights
Here’s how Shane Jones, Alaska Airlines’ VP of Business Development, describes this new service:
“We know time is valuable for our guests who are busy balancing a lot in their lives and we kept that in mind when we developed Alaska Access. Alaska Access is part of our commitment to make travel more affordable and convenient for everyone – whether planning for your dream vacation or returning home from college. Our new subscription service allows you to discover some of our best deals of the year right at your fingertips, in just minutes.”
My take on the Alaska Access subscription service
It’s unusual to see an airline ask you to pay to essentially receive access to fare sales. However, I think this is kind of smart, or at a minimum, it’s something worth experimenting with.
The price is low enough so that many people will probably subscribe without thinking twice. Then as I view it, the core value proposition is that you’re getting access to discounted Wi-Fi:
- If you fly Alaska once per month and would use Wi-Fi, you’re already saving $3 per month compared to just buying a Wi-Fi pass for $8
- If you fly Alaska at least once in eight different months, you’d come out ahead compared to buying Wi-Fi each time
Furthermore, having these Wi-Fi vouchers may encourage some people to choose to book Alaska over another airline. Then again, Alaska’s biggest competitor is Delta, and the airline offers free Wi-Fi to all SkyMiles members on most aircraft.
As far as the early access to fare sales go, I couldn’t imagine actually paying for access to airline fare sales:
- Airline fare sales are rarely anything to get excited about, but rather are mostly about marketing
- Fare sales tend to not book out that quickly, since they’re usually not such great deals
- The calendar feature doesn’t necessarily sound all that different than what you’d have access to if using a website like Google Flights
This isn’t the first time that Alaska has experimented with a subscription concept, as the airline previously sold a flight subscription pass.
Bottom line
Alaska Access is a new subscription service from Alaska Airlines. It costs $5 per month, and gives you early access to fare sales, which seems like an odd value proposition. However, what could quickly make this worthwhile is that you get a free Wi-Fi voucher every month, offering instant savings for frequent Alaska flyers who don’t have a Wi-Fi subscription.
I’d only take advantage of this if you value the Wi-Fi perk. While I don’t think the value is huge beyond that, I do think this is a pretty smart marketing tool on Alaska’s part, as it won’t just generate revenue, but will also make people more engaged in the airline.
What do you make of Alaska Access?
Recurly as "Access Alaska" is very good at taking your monthly $5 - but has been inconsistent to non-existent in providing the monthly access codes for on-board Wi-Fi. BTW the codes expire at the end of the month - why shouldn't they remain active till you use them? Further, if you try to find the promo codes on the Access Alaska web site - no bueno. Not there. There is no way to communicate back...
Recurly as "Access Alaska" is very good at taking your monthly $5 - but has been inconsistent to non-existent in providing the monthly access codes for on-board Wi-Fi. BTW the codes expire at the end of the month - why shouldn't they remain active till you use them? Further, if you try to find the promo codes on the Access Alaska web site - no bueno. Not there. There is no way to communicate back to them except through AK Air customer service.
As far as the fares go - I have been getting the same notices from AK Airlines for years without the need for paying $5/month. TO date I have not seen a fare on Access AK that has not been email to me by AK Air
Bottom line - don't bother. As constructed you will pay out $60 in a year and get very little (if anything) in return. Will be cancelling mine.
Definetly a smart and unique concept by Alaska. I look forward to seeing if it works out.
It would be worth paying the $5 per month for unlimited WIFI on Alaska depending how often you fly. Would have to be on average once a month though...
So I just got the email inviting me (as a MVP 75k) to sign up. It is $5 per month... but you must sign up for a minimum of one year. It's a one year commitment, billed monthly. So at $60 it's roughly comparable to Spirit's $9 Fare Club (or Saver Club or whatever it is, which actually has saved me over $200 in the last year).
So it's $5 but it's really $60.
Looks like a terrible value for most travelers.
They will cancel it eventually.
Really not liking the implications here. Maybe this is why you can't find Partner Business and First rewards anymore, because they're going to be "gated" by this subscription model. Sure, it's $5 NOW, but then the $5/month becomes the "basic" level, followed by $10, $20, and $50+ levels.
Alaska's starting to get delusions of grandeur. They're not American, Delta, or United. Acquiring Hawaiian and getting some widebodies and Pacific international slots doesn't put them in...
Really not liking the implications here. Maybe this is why you can't find Partner Business and First rewards anymore, because they're going to be "gated" by this subscription model. Sure, it's $5 NOW, but then the $5/month becomes the "basic" level, followed by $10, $20, and $50+ levels.
Alaska's starting to get delusions of grandeur. They're not American, Delta, or United. Acquiring Hawaiian and getting some widebodies and Pacific international slots doesn't put them in the same class to start pulling crap like this.
I disagree. I don't find new ideas like this synically. Just like I like EWR-RAK. New ideas gain traction in spite of old fist pointing tables.
Companies like subscriptions - provides a constant revenue stream (like Microsoft Office 365, Amazon PRIME, etc.). Maybe airlines will start charging a monthly fee for a frequent flyer account??
I bet the raison d'etre for this service is to offer it as a freebie at one of the lower elite tier levels when AS introduces choice benefits in 2025.
After more thought, I think I'm wrong, and the actual raison d'etre is early access to the AS discounted mileage awards (hopefully still offered as a choice perk).
I might be wrong and I admit I'm speculating, but I'm trying to make the value proposition make sense, and that would do it if true.
Weird.... how much revenue can this possibly actually drive?
I buy WiFi with my Alaska Visa, I get a $1.60 (20%) discount for inflight purchases.
So I usually pay only $6.40 for WiFi.
It makes the subscription less attractive.
For someone who knows what they're doing & flys AS, it's discounted WiFi. For everyone else that flys AS but doesn't care about the Avgeek hobby, the early sale/access may bring additional value. I'm curious if this supposed new calander feature coincides with the new ability to book multiple oneworld award partners since it says you can view by cash or miles. Maybe a way for AS to recoup some IT costs.
Curious if this would code and count towards the Amex Platinum card $200 airline credit.
This is not bad itself but a bad sign of Alaska becoming cheapskate.
A better product to sell might be concierge check in where an agent meets you either at the light rail station or where the terminal drop off begins. An agent then accompanies you to check in, print boarding pass, and hangs around with you until boarding. When boarding, they either have you board first or board last, while saving overhead space...
This is not bad itself but a bad sign of Alaska becoming cheapskate.
A better product to sell might be concierge check in where an agent meets you either at the light rail station or where the terminal drop off begins. An agent then accompanies you to check in, print boarding pass, and hangs around with you until boarding. When boarding, they either have you board first or board last, while saving overhead space for you. The cost would be $2500 per year. That is $25 per flight if you fly once a week and $100 per flight if you fly once a month.
LOL if you think something like that could be done profitably at $2500/year.
Honestly if I didn’t have T-mobile I’d strongly consider signing up…